HOOPS SCOUTING USA Restates Financials, Adjusts Loan Payables

TL;DR

HSCT restated financials, big loan payable adjustment as of 3/31/23.

AI Summary

HOOPS SCOUTING USA filed a 10-Q/A amendment for the period ending March 31, 2023. The filing indicates a significant adjustment to previously reported figures, with a substantial change in "Loans Payable" from non-related parties. Specifically, the company reported $63,750,000 in "Loans Payable" from non-related parties as of March 31, 2023, which appears to be a restatement or adjustment from prior periods.

Why It Matters

This filing indicates a significant change in the company's reported liabilities, specifically loans payable, which could impact its financial health and investor perception.

Risk Assessment

Risk Level: medium — Restatements and significant adjustments to liabilities can signal underlying financial issues or accounting complexities.

Key Numbers

• $63.75M — Loans Payable (Non-Related Parties) (This is the reported amount as of March 31, 2023, indicating a significant financial obligation.)

Key Players & Entities

• HOOPS SCOUTING USA (company) — Filer of the 10-Q/A
• March 31, 2023 (date) — Period of report for the 10-Q/A
• $63,750,000 (dollar_amount) — Amount of Loans Payable from non-related parties as of March 31, 2023

FAQ

Key Financial Figures

• $0.0001 — he Registrant's common stock, par value $0.0001 per share, outstanding as of December 3
• $20 — arch 31, 2023, we had a cash balance of $20 and total assets of $96,093 compared to
• $96,093 — cash balance of $20 and total assets of $96,093 compared to cash and total assets of $3
• $392 — 93 compared to cash and total assets of $392 as at June 30, 2022. The increase in to
• $100,000 — the "Assets"). The Assets are valued at $100,000 As at March 31, 2023, and June 30, 202
• $98,438 — ne 30, 2022 we had total liabilities of $98,438 and $82,484 respectively. Our liabiliti
• $82,484 — we had total liabilities of $98,438 and $82,484 respectively. Our liabilities at March
• $16,000 — ans payable to non- related parties for $16,000, which are unsecured, non-interest bear
• $6,416 — he President of the Company contributed $6,416 towards operating expenses. Our worki
• $82,418 — nses. Our working capital deficit was $82,418 as at March 31, 2023 compared to $66,09
• $66,092 — 82,418 as at March 31, 2023 compared to $66,092 as at June 30, 2022 respectively. Dur
• $3,000 — ded June 30, 2022, the Company received $3,000 of share subscriptions relating to a pr
• $0.10 — a private placement of common shares at $0.10 per share. On October 18, 2021, the Com
• $35,000 — lating to private placement proceeds of $35,000 that was received as at September 30, 2
• $9,489 — onths ended March 31, 2023, we incurred $9,489 of operating expenditures comprised of

Filing Documents

• hsct_10qa.htm (10-Q/A) — 573KB
• hsct_ex311.htm (EX-31.1) — 9KB
• hsct_ex321.htm (EX-32.1) — 5KB
• 0001477932-24-008389.txt ( ) — 2970KB
• hsct-20230331.xsd (EX-101.SCH) — 23KB
• hsct-20230331_lab.xml (EX-101.LAB) — 138KB
• hsct-20230331_cal.xml (EX-101.CAL) — 31KB
• hsct-20230331_pre.xml (EX-101.PRE) — 126KB
• hsct-20230331_def.xml (EX-101.DEF) — 66KB
• hsct_10qa_htm.xml (XML) — 511KB

Financial Statements

Financial Statements 3 Unaudited Balance Sheets as of March 31, 2023 (Restated) and June 30, 2022 4 Unaudited Statements of Operations for the three and nine months ended March 31, 2023 (Restated), and 2022 5 Unaudited Statements of Stockholders' Deficit for the three and nine months ended March 31, 2023 (Restated), and 2022 6 Unaudited Statements of Cash Flows for the nine months ended March 31, 2023 (Restated), and 2022 7 Notes to the Financial Statements 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 15 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 18 Item 4.

Controls and Procedures

Controls and Procedures 18 PART II OTHER INFORMATION: 19 Item 1.

Legal Proceedings

Legal Proceedings 19 Item 1A.

Risk Factors

Risk Factors 19 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 19 Item 3. Defaults Upon Senior Securities 19 Item 4. Mine Safety Disclosures 19 Item 5. Other Information 19 Item 6. Exhibits 20

Signatures

Signatures 21 2 Table of Contents

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements The accompanying interim financial statements of Hoops Scouting USA. ("the Company", "we", "us" or "our"), have been prepared without audit pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The interim financial statements should be read in conjunction with the Company's latest annual financial statements. In the opinion of management, the financial statements contain all material adjustments, consisting only of normal adjustments considered necessary to present fairly the financial condition, results of operations, and cash flows of the Company for the interim periods presented. 3 Table of Contents HOOPS SCOUTING USA Condensed Balance Sheets (Unaudited) March 31, 2023 June 30, 2022 (Restated) Assets Current assets Cash $ 20 $ 392 Total current assets 20 392 Property and equipment Intangible asset $ 100,000 $ - Less: Amortization ( 3,927 ) - Property and equipment net $ 96,073 $ - Total assets $ 96,093 $ 392 Liabilities and stockholders' deficit Current liabilities Bank Overdraft $ 40 $ - Accounts payable and accrued liabilities 2,601 4,903 Due to related party (Note 3) 79,797 61,581 Total current liabilities 82,438 66,484 Non-current liabilities Loans payable (Note 5) 16,000 16,000 Total liabilities $ 98,438 $ 82,484 Stockholders' deficit Common stock authorized: 10,000,000,000 common shares, $ 0.0001 par value 63,750,000 shares issued and outstanding as of March 31, 2023 and June 30,2022 $ 6,375 $ 6,375 Share subscription payable 100,000 - Additional paid-in capital 28,675 28,675 Accumulated deficit ( 137,395 ) ( 117,142 ) Total stockholders' deficit $ ( 2,345 )

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A) contains forward-looking statements that involve known and unknown risks, significant uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed, or implied, by those forward-looking statements. You can identify forward-looking statements by the use of the words may, will, should, could, expects, plans, anticipates, believes, estimates, predicts, intends, potential, proposed, or continue or the negative of those terms. These statements are only predictions. In evaluating these statements, you should consider various factors which may cause our actual results to differ materially from any forward-looking statements. Although we believe that the exceptions reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Therefore, actual results may differ materially and adversely from those expressed in any forward- looking statements. We undertake no obligation to revise or update publicly any forward-looking statements for any reason. Liquidity and Capital Resources As of March 31, 2023, we had a cash balance of $20 and total assets of $96,093 compared to cash and total assets of $392 as at June 30, 2022. The increase in total assets was due to an asset acquisition. In furtherance of our business plan, on February 17, 2023, we entered into an Asset Purchase Agreement with Grit Performance Athletics Inc. ("Grit Performance") to acquire all right, title and interest of Grit Performance and its Affiliates in the Grit Mobile Application and related products, including website, Instagram account, etc. (the "Assets"). The Assets are valued at $100,000 As at March 31, 2023, and June 30, 2022 we had to

View Full Filing

View this 10-Q/A filing on SEC EDGAR